Ashiana Housing Q4 FY26 Results (NSE: ASHIANA)
Signal: Margin pressure
The read
Q4FY26 revenue growth (+48% YoY) remains strong but decelerated from Q3's +172% YoY; OPM contraction (-200bps YoY to 6%) and sequential PAT decline (-53%) show lumpy project completions; full-year revenue ₹1,110 Cr (+54% YoY) and full-year PAT ₹562 Cr (+23%) reflect strong FY26 overall, but the exceptional items boost full-year PAT — Q4 operational PAT ex-extraordinary items is merely flat YoY.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹323 Cr | +48.2% | -10.8% |
| EBIT | ₹0 Cr | N/A | |
| Net profit | ₹21 Cr | +3.5% | |
| EPS | ₹2.09 | +3.5% | |
| EBIT margin | 6% |
P&L walk
Consolidated Q4 revenue growth of 48% YoY but sequential decline of 11% from Q3's peak; OPM contracted 200bps YoY to 6% as project expenses rose faster than revenue; PAT grew only 3.5% as other income fell and tax normalised; full-year PAT includes exceptional items boosting base
Key positives
- Full-year revenue of ₹1,110 Cr (+54% YoY) demonstrates strong execution pipeline.
- Full-year PAT of ₹562 Cr (+23% YoY) benefitted from exceptional gains, but underlying profitability robust.
- Debt-equity ratio improved to 0.08x from 0.28x; cash & equivalents of ₹578 Cr provide ample liquidity.
- Board recommended final dividend of ₹1.50/share (75% payout).
Key concerns
- Q4 OPM contracted 200bps YoY to 6% as project expenses grew faster than revenue (57% vs 49% of revenue).
- Q4 PAT grew only 3.5% YoY despite revenue growth of 48%, squeezed by lower other income and higher tax.
- Sequential revenue declined 11% from Q3's peak, typical for realty but highlights lumpiness.
- Full-year CFO was ₹52 Cr vs ₹76 Cr prior year, impacted by working capital absorption.
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